5 Tips on Buying Home Insurance
Shopping for home insurance can be a confusing project, struggling to make sense of the fine print that comes with each home insurance quote option. Making matters even more confusing is the fact that most home companies calculate their own rates and premiums based on complex algorithms that take hundreds of factors into account. Thankfully, FindInsurance makes it simple to guarantee lower rates across the board when comparing home insurance quotes.
Here are 5 Tips to save you money:
- Reducing monthly cost for Home & Renters Insurance - The following can reduce your homeowners insurance quote drastically: raise the deductible, Improve security and safety such as adding fire extinguishers, dead bolt locks, burglar alarms and smoke detectors can usually bring discounts of 5 percent each, depending on the company. Insurance companies can also offer a significant discount of up to 20% if installing a sophisticated home-security system. Dogs, some insurers give a discount if you are a dog owner as it can deter burglars. Smoke-free? Smoking accidents account for almost 25% of residential fires every year, so some insurers offer to reduce premiums if no one in the home smokes.
- Find & Compare Multiple Insurance Quotes online - Prices vary from company to company, so it pays to do your homework. Insurance companies rate your home insurance by zip codes. The number of claims an insurance company has had in your zip code will determine how much you will be charged. That is why it's so important for you to get multiple insurance quotes. When looking for homeowners insurance get at least three price quotes. You can spend your time calling companies directly or access multiple home quotes online from insurers with www.find-insurance-policy.com. Remember, don't just shop price alone - make sure you are comparing apples to apples and remember to revisit this site to make sure the price you are paying remains competitive. Finally, if you're going to change insurers or get a new insurer, make sure that you buy from a licensed agent in good standing, and buy from a licensed insurer.
- Insure the House not the Land the Home is on - While the house and its contents are at risk from fire, theft and other threats, the land the house resides on is not. Don't include the value of the land when deciding how much home insurance to buy in order to rebuild your house. In many large cities like New York, Boston, San Francisco, the land is worth at least 4 times more than the actual cost of building the home, so this can be a huge savings. Also, keep in mind Home insurance does not cover earthquakes (if you live on the Pacific Coast) or wind damage (if you live on the Atlantic Coast); so if you want to be covered for those threats, you need to buy windstorm or earthquake coverage separately, adding to your insurance cost.
- Understand the pros and cons of each plan - Insurance plans vary. Before choosing a plan, decide what is most important to you. Remember that the most important aspect to you is the actual cash value coverage the insurance reimburses for the value of your property at the time of damage or loss, minus the deductible. If you buy actual cash value coverage (which results in lower premiums), you need to account for depreciation of your property, which may result in a lower claim payment than expected. Replacement cost coverage reimburses the full value of the items lost and though the initial premiums are higher, full compensation for the possessions lost / stolen are received.
- Multi-Discount - Multi-policy insurance discounts are an industry standard. If you purchase your car, home or umbrella liability with the same insurer you should be getting a discount. This can be one of the most significant discounts, with some insurers giving as much as a 20% discount for multi-policies.
Use these tips to find, compare and save money on Homeowners Insurance.
Need help? We'll help you find the best value for homeowners insurance to meet your needs. To make the right decision, carefully review our home insurance primer, offering free home insurance quotes from quality home insurance providers and detailed information about your home insurance options, including:
